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Mumbai: Investors, bullish about the longer-term prospects of Indian equities, are combing through the market to pick the next winners. With most blue-chips down 15-20% and several mid- and small-cap stocks down 40-60% from their highs, investors are confused what to buy. Despite the sharp sell-off, analysts are recommending against deploying all the cash at one go. While Systematic Investment Plans (SIPs) of mutual funds are one way to bet, investors wanting to bet directly on equities could also consider SIPs in specific stocks with strong prospects. ET spoke to analysts at five leading brokerages for their top SIP stock picks. They have recommended the price range at which the stocks must be bought and the holding period. and are among their top favourites.

Hemang Jani, head of equity strategy- broking and distribution,


ICICI Bank

CMP: ₹709.55

Buying Range: ₹650-720

Holding Period: 2 years

The stock is well-positioned to undergo a swift re-rating, generating strong returns, as ICICI Bank continues its journey to deliver solid return ratios and growth, said Jani. He has a target of ₹1,050 on the stock. Jani said ICICI Bank has been reporting strong operating performance and asset quality.

Tata Consumer

CMP: ₹734.75

Buying Range: ₹650-735

Holding Period: 2 years

Tata Consumer is reorganising its businesses to simplify the corporate structure, said Jani. “The unlocking of sales and distribution synergies from the merger of group companies has started to yield results. The company is establishing a strong S&D channel, which will act as a key growth driver,” said Jani. He has a target of ₹900 on Tata Consumer.

Jayesh Bhanushali, AVP-research,


ICICI Bank

CMP: ₹709.55

Buying Range: ₹580-680

Holding Period: 1 year

Bhanushali said ICICI Bank’s performance on the granular retail and small and medium enterprises business remains strong. The stock is also trading at an attractive valuation. Every dip is likely to be a buying opportunity, he said.



CMP: ₹560.40

Buying Range: ₹580-560

Holding Period: 1 year

Gujarat Gas has seen strong profit growth and sharp recovery in margins, said Bhanushali. Every dip can be a buying opportunity in the stock, he said.

Yash Gupta, Equity research analyst, Angel One




CMP: ₹1,305.10

Buying Range: ₹1,097-1,484

Holding Period: 1 + years

Gupta said the bank has a very well spread-out book with wholesale constituting around 61% of the asset book. He is positive given the best in class asset quality, expected rebound in retail credit growth and reasonable valuations. Gupta expects the stock to touch ₹1,860 in a year.



CMP: ₹811.50

Buying Range: ₹698-945

Holding Period: 1 + years

Gupta expects residential real-estate growth momentum to continue. “We have seen good consolidation across India towards top-10 players. Top-10 players now hold 11.2% market share as compared to 5.4% in 2017,” said Gupta. He expects the stock to touch ₹1,250 in a year.

Nischal Maheshwari, CEO-institutional equities, Centrum Broking




CMP: ₹2,427.4

Buying Range: ₹2,400-3,000

Holding Period: 3 years

Maheshwari said

is a multi-year story that one can do an SIP on. “They were in oil and gas, then they came to retail, telecom and now green energy. The story will keep going. I believe the stock can give 20% CAGR return.”



CMP: ₹2,110.75

Buying Range: ₹2,100-2,500

Holding Period: 3 years

Maheshwari said the company has guided for a 22% revenue and profit growth on a compounded annual growth rate basis. “Valuation is steep and will continue to remain steep. They are also focusing on the international business going forward,” said Maheshwari.

Siddharth Sedani, Senior VP -equity sales & products, Anand Rathi


Tata Consumer

CMP: 734.75

Buying Range: At current price

Holding Period: 1 year

Sedani sees the stock at ₹904 in one year. He said Tata Consumer would continue to see strong margin improvement with a dip in tea procurement prices. Innovation and premiumisation strategy in salt, tea, Sampann and Soulful brands in the Indian market are likely to drive its sales, said Sedani.



CMP: ₹683.1

Buying Range: At current price

Holding Period: 1 year

Sedani expects the crop protection chemical company to see strong growth, thanks to its focus on registering formulations and active ingredients across regions. He is also bullish due to its strong pipeline and distribution network with a target of ₹835 on the stock in a year.

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